European stocks rose this week after profit from Tesco Plc and Yara International ASA beat analysts’ estimates and record oil prices boosted energy companies, fueling speculation that earnings could weather an economic slowdown.
Tesco had its biggest weekly gain in six months, leading retailers higher, while Yara paced gains by chemical makers. BP Plc and Royal Dutch Shell Plc led oil shares to a fourth week of gains as crude reached US$116 a barrel. ArcelorMittal, the world’s biggest steelmaker, advanced after saying it will boost prices on some steel shipments in the US.
The Dow Jones STOXX 600 Index added 3.2 percent to 320.69, rebounding from last week’s decline. The gauge has fallen 12 percent this year on concern more than US$245 billion in losses related to the collapse of US subprime mortgages will drag down global economic growth.
“There are signs of some light at the end of the tunnel,” said Richard Hunter, head of UK equities at Hargreaves Lansdown in London. “Tesco reinforced its position with results which confounded its doubters. Oils were also in focus given the strength of the oil price.”
Stocks extended gains on Friday after Citigroup Inc posted a first-quarter loss of US$5.11 billion, less than the most pessimistic analysts’ estimates. Revenue at the biggest US bank by assets exceeded projections.
European companies will probably see their profits shrink for the first time in six years, analysts’ estimates compiled by Bloomberg show. Earnings for companies in the STOXX 600 are predicted to fall 0.46 percent this year, compared with 11 percent growth forecast at the end of last year.
National benchmarks gained in all 18 western European markets this week. Germany’s DAX Index added 3.6 percent, while France’s CAC 40 rallied 3.4 percent. The UK’s FTSE 100 climbed 2.7 percent. The STOXX 50 rose 3.1 percent, while the Euro STOXX 50, a measure for the euro region, increased 2.9 percent.
Tesco jumped 5.8 percent. The UK’s largest retailer said net income climbed 12 percent to £2.1 billion (US$4.2 billion) in the 12 months ended Feb. 23, surpassing the £2.05 billion average of analysts polled by Bloomberg.
NO HUMAN ERROR: After the incident, the Coast Guard Administration said it would obtain uncrewed aerial vehicles and vessels to boost its detection capacity Authorities would improve border control to prevent unlawful entry into Taiwan’s waters and safeguard national security, the Mainland Affairs Council (MAC) said yesterday after a Chinese man reached the nation’s coast on an inflatable boat, saying he “defected to freedom.” The man was found on a rubber boat when he was about to set foot on Taiwan at the estuary of Houkeng River (後坑溪) near Taiping Borough (太平) in New Taipei City’s Linkou District (林口), authorities said. The Coast Guard Administration’s (CGA) northern branch said it received a report at 6:30am yesterday morning from the New Taipei City Fire Department about a
IN BEIJING’S FAVOR: A China Coast Guard spokesperson said that the Chinese maritime police would continue to carry out law enforcement activities in waters it claims The Philippines withdrew its coast guard vessel from a South China Sea shoal that has recently been at the center of tensions with Beijing. BRP Teresa Magbanua “was compelled to return to port” from Sabina Shoal (Xianbin Shoal, 仙濱暗沙) due to bad weather, depleted supplies and the need to evacuate personnel requiring medical care, the Philippine Coast Guard (PCG) spokesman Jay Tarriela said yesterday in a post on X. The Philippine vessel “will be in tiptop shape to resume her mission” after it has been resupplied and repaired, Philippine Executive Secretary Lucas Bersamin, who heads the nation’s maritime council, said
REGIONAL STABILITY: Taipei thanked the Biden administration for authorizing its 16th sale of military goods and services to uphold Taiwan’s defense and safety The US Department of State has approved the sale of US$228 million of military goods and services to Taiwan, the US Department of Defense said on Monday. The state department “made a determination approving a possible Foreign Military Sale” to the Taipei Economic and Cultural Representative Office in the US for “return, repair and reshipment of spare parts and related equipment,” the defense department’s Defense Security Cooperation Agency said in a news release. Taiwan had requested the purchase of items and services which include the “return, repair and reshipment of classified and unclassified spare parts for aircraft and related equipment; US Government
More than 500 people on Saturday marched in New York in support of Taiwan’s entry to the UN, significantly more people than previous years. The march, coinciding with the ongoing 79th session of the UN General Assembly, comes close on the heels of growing international discourse regarding the meaning of UN Resolution 2758. Resolution 2758, adopted by the UN General Assembly in 1971, recognizes the People’s Republic of China (PRC) as the “only lawful representative of China.” It resulted in the Republic of China (ROC) losing its seat at the UN to the PRC. Taiwan has since been excluded from